Earnings To Watch: AMD Reports Q4 Results Tomorrow

Adam Hejl /
2022/01/31 5:22 pm EST

Computer processor maker AMD (NASDAQ:AMD) will be announcing earnings results tomorrow afternoon. Here's what to look for.

Last quarter Advanced Micro Devices reported revenues of $4.31 billion, up 53.9% year on year, beating analyst revenue expectations by 4.85%. It was a stunning quarter for the company, with a significant improvement in gross margin and a beat on the bottom line.

Is AMD buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting AMD's revenue to grow 30.9% year on year to $4.24 billion, improving on the 17% year-over-year increase in revenue the company had recorded in the same quarter last year. Earnings are expected to come in at $0.68 per share.

Advanced Micro Devices Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 4.96%.

Looking at AMD's peers in the semiconductors segment, some of them have already reported Q4 earnings results, giving us a hint what we can expect. Intel delivered top-line growth of 2.75% year on year, beating analyst estimates by 11.8% and Micron reported revenues already before the holidays, up 33.1% year on year, exceeding estimates by 0.13%. Intel traded down 7.04% on results, Micron Technology was up 10.4%. Read our full analysis of Intel's results here and Micron Technology's results here.

The whole tech sector has been facing a sell-off since late last year and while some of the semiconductors stocks have fared somewhat better, they have not been spared, with share price declining 0.21% since earnings, on average. AMD is down 23.2% during the same time, and is heading into the earnings with with analyst price target of $133.2, compared to share price of $115.19.

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The author has no position in any of the stocks mentioned.